Cars.com Inc. (CARS) vs Nextdoor Holdings, Inc. (NXDR)

Cars.com Inc. and Nextdoor Holdings, Inc. are both Internet Content & Information companies. Nextdoor Holdings, Inc. is the larger, with a market value of $866.5M against $601.7M — 1.4× the size. Nextdoor Holdings, Inc. has negative trailing earnings, so its P/E is not meaningful; Cars.com Inc. trades at 19.4×. Nextdoor Holdings, Inc. grew revenue faster over the last twelve months: 9.79% against 1.08%. Cars.com Inc. has the higher net margin (4.73% vs −11.1%) and the higher return on invested capital (6.05% vs −87.4%). Across the 19 metrics below, Cars.com Inc. leads on 13 and Nextdoor Holdings, Inc. on 6.

Valuation

Metric CARS NXDR Internet Content & Information median
P/E 19.38 n/m 12.10
P/S 0.87 3.11 0.93
P/B 1.42 2.08 1.26
Price to free cash flow 4.59 69.56 8.57
EV/EBITDA 6.70 n/m 9.76
EV/Sales 1.47 1.73 1.10
Earnings yield 5.16% (3.37%) 0.70%
Free cash flow yield 21.79% 1.44% 3.77%

Profitability

Metric CARS NXDR Internet Content & Information median
Gross margin 67.10% 84.19% 66.11%
Operating margin 11.45% (16.62%) 0.36%
Net margin 4.73% (11.08%) 1.24%
Free cash flow margin 18.86% 4.47% 3.47%
Return on equity 7.40% (7.24%) 0.00%
Return on assets 3.30% (6.39%) 0.50%
Return on invested capital 6.05% (87.38%) 0.00%

Growth

Metric CARS NXDR Internet Content & Information median
Revenue growth (TTM) 1.08% 9.79% 5.54%
EPS growth (last fiscal year) (55.56%) 44.00% 34.37%
Revenue growth, 5-year CAGR 5.73% 15.88% 10.75%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric CARS NXDR Internet Content & Information median
Debt to equity 1.01 0.00 0.01
Current ratio 2.00 13.27 1.85
Net debt to EBITDA 2.57 5.78 (0.53)

Dividend

Metric CARS NXDR Internet Content & Information median
Dividend yield — — 1.13%
Payout ratio — — 0.28

Size

Metric CARS NXDR Internet Content & Information median
Market cap 601.71m 866.54m 636.02m

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack